SGX:S08 25 February 2026

June 29, 2026, 2:19 AM EDT. Tracker funds, also known as passive funds, have outperformed actively managed funds consistently over the past decade, according to AJ Bell's report. These funds mirror market indices like the FTSE 100 or S&P 500, offering diversification by investing across all companies in the index. Unlike active funds, which require fund managers to pick stocks, trackers reduce costs by eliminating management fees. Only 29% of active managers outperformed trackers in 2025. The approach, championed by Vanguard founder Jack Bogle, is summarized as "buy the haystack, not the needle." Trackers typically weight holdings by market capitalization, and come in structures such as exchange-traded funds (ETFs) or open-ended investment companies (OEICs), making them a favored choice for new and cost-conscious investors.